Why, you might ask, should you believe White House Estimates that say that Mr. Obama’s Healthcare Plan will reduce costs of providing medical care in America? His team doesn’t have a very good track record. To wit:
The Obama Administration made estimates of Unemployment “as high as 8.5%,” even with the great Stimulus Plan he rushed through Congress. It is now sitting at 9.7% and no economist I have found is predicting it will go down any time soon while many believe it will top 10% in the next month.
They made estimates of the $1,000,000,000 (Billion) fund for Cash for Clunkers lasting 6 months. It lasted 4 days.
Mr. Obama is now guaranteeing all Clunker trade program deals through this Friday with any money needed coming from excess, unspent money from the Recovery Act. At the time it was passed, most Democrats wanted more money in the fund. They also said it was all committed to “shovel ready” projects that would get the country going (economically) again almost immediately.
Mr. Obama has been saying his Healthcare Reform Plan will lower the cost of your health insurance, not increase taxes for anyone, and will help reduce the deficit “downstream.” The Congressional Budget Office disagrees both that costs will go down and that Mr. Obama’s Healthcare Reform Plan will reduce deficits. Most economists are now predicting that big new or increased taxes will be required if there is to be any hope of not increasing our deficits once this plan is in place.
The Dow dropped by about 30% when it became obvious that Mr. Obama would become President. It seems the folks in business have a better handle on predicting outcomes.